Intel to Buy McAfee Security Business for $7.68B

Intel is planning to acquire McAfee for roughly $7.68 billion in a bid to extend its ability to offer security to customers.

Intel has signed a definitive agreement to acquire security giant McAfee for approximately $7.68 billion.

If completed, McAfee would become a wholly owned subsidiary of Intel and would report to Intel's Software and Services Group. For Intel, bringing McAfee into the fold continues with the company's plans around software, explained Ren??«e James, Intel senior vice president and general manager of the Software and Services group, in a statement.

"This acquisition is consistent with our software and services strategy to deliver an outstanding computing experience in fast-growing business areas, especially around the move to wireless mobility," she said. "McAfee is thenext step in this strategy, and the right security partner for us. Our current work together has impressive prospects, and we look forward to introducing a product from our strategic partnership next year."

According to Intel CEO Paul Otellini, the growth of Internet-connected devices has moved more and more elements of people's lives online. In the past, energy-efficient performance and connectivity have "defined computing requirements," he said in a statement. Looking ahead, security will be a key factor of what people demand from all their computing experiences, he added.

"The addition of McAfee products and technologies into the Intel computing portfolio brings us incredibly talented people with a track record of delivering security innovations, products and services that the industry and consumers trust to make connecting to the Internet safer and more secure," Otellini said.

McAfee is just coming off two acquisition announcements of its own. The company closed on a deal to buy Trust Digital earlier this summer, and also announced plans recently to buy mobile security vendor tenCube. Founded in 1987, McAfee raked in approximately $2 billion in revenue in 2009, and has roughly 6,100 employees.

"The cyber threat landscape has changed dramatically over the past few years, with millions of new threats appearing every month," said Dave DeWalt, president and CEO of McAfee, in a statement. "We believe this acquisition will result in our ability to deliver a safer, more secure and trusted Internet-enabled device experience."